Oberoi Realty bleeding in some of its retail, hospitality & commercial projects
New Delhi: Mumbai-based Oberoi Realty is financially bleeding in some of its retail, hospitality and commercial projects. The operating revenues of these projects have taken a hit in the range of 27-75 percent in the last fiscal as compared to the previous fiscal. While last fiscal was challenging for these asset types due to the pandemic, not all commercial projects of the company have been negatively impacted.
The operating revenues of Westin Mumbai Garden City project came down to Rs 33 crore in the last fiscal as against Rs 131 crore in the previous fiscal, a drop of massive 75 percent. The EBITDA went in negative territory (loss) at Rs 5.15 crore in the last fiscal as compared to Rs 45 crore in the previous fiscal. The EBITDA margin fell to minus 15.8 percent as against 34 percent. The average room rates went down to Rs 5,782 as against Rs 9,363 in the previous fiscal.
The Oberoi Mall project saw operating revenues tumble to Rs 117 crore in the last fiscal as against Rs 160 crore in the previous fiscal, a steep decline of 27 percent. The EBITDA fell to Rs 107 crore as against Rs 152 crore, the company said in its investor presentation.
The Commerz project saw operating revenues come down to Rs 23 crore in the last fiscal as compared to Rs 32 crore in the previous fiscal. The EBITDA fell to Rs 19 crore as compared to Rs 30 crore.
Interestingly, Commerz II, another commercial project by the group, did not see a decline in operating revenues and EBITDA.